SACRAMENTO, CALIF. – A newly introduced bill aims to take a firmer stand against corporate abuse in the state.
Senate Bill 763 (SB 763), introduced through a joint effort from 16th District Senator Hurtado and Attorney General Bonta, aims to increase penalties for corporations that violate California law. Both officials see the bill as a necessary update to decades-old Cartwright Act penalties, which are now seen by many businesses as a mere cost of operation, according to the press release on the matter.
“For too long, Californians have shouldered the burden of an economy where those who break the rules profit while honest businesses and working families struggle,” Hurtado said in a press release. “That ends now. SB 763 ensures that violating antitrust laws comes with real consequences, not just a slap on the wrist.”
SB 763 calls for increased criminal penalties as well as additional civil penalties under the Cartwright Act. These increases include:
- Increase the criminal fines for corporate violators from $1 million to $100 million per violation;
- Increase the criminal fines for individuals from $250,000 to $1 million per violation;
- Increase imprisonment terms for felony violations to two, three and five years from the current one, two or three years; and
- Add civil penalties of up to $1 million per violation that courts can impose based on factors such as the nature, seriousness, and persistence of the misconduct.
This team-up stems from Bonta’s heavy focus on antitrust enforcement, and Hurtado’s desire to reduce the impact of unchecked monopolies on California families. Bonta has a years-long history of challenging corporations, from challenging Amazon’s aggressive tactics back in 2022 to blocking the Kroger-Albertsons merger in December 2024, which would have had a huge impact on food prices and consumer choice.
“Too many wealthy corporations see penalties for breaking the law as simply the cost of doing business,” Bonta said via press release. “SB 763 would sharpen the teeth of a century-old law by increasing penalties for those looking to illegally profit at the cost of workers, consumers and honest businesses.”
If passed, this bill could be a major step towards giving power back to the consumer, and to holding corporations truly accountable for illegal practices.
